Cyworld, a leading South Korean social media platform that boasted over 32 million subscribers in the 2000s, is preparing for a relaunch starting with a beta service this October.

At a press conference held on the 10th at the Courtyard by Marriott Seoul Namdaemun Hotel, Sigma Chain announced that it had legally acquired the Cyworld IP license from Cycommunications (Cycoms). The service brands have been set as 'The Return of Cyworld' and 'Cyworld 3.0.'

Sigma Chain laid out a plan to restore 170 million records and 3.8 petabytes (PB) of existing user data using its own workforce, aiming to launch the official service in the first half of next year. Currently, 15 personnel are dedicated to the restoration effort, working to safely provide users with their past records, including photos and posts. The company emphasized that it has secured the funding to carry out the restoration and development entirely with its own personnel and technology, without outsourcing.

Reconstructed for Mobile… Blockchain and Stablecoin Integration Under Review

The company plans to restructure past popular features such as Mini Hompy, photo albums, BGM, Ilchon (connections), and guestbooks to suit the mobile environment. A revenue-sharing model will be introduced, distributing profits with 40% to users, 40% to creators, and 20% to the platform. Various blockchain-based features are also being considered, including the conversion of Mini Hompy content into NFTs. Additionally, there are plans to link a stablecoin issued by a financial institution with Cyworld's virtual currency, 'Acorns.'

Sigma Chain aims to officially launch the service in the first half of 2027 after completing data restoration and system stabilization.

Conflict Surfaces Over Legality of Acquisition

However, a conflict has also emerged surrounding the acquisition and service resumption of Cyworld. Kim Ho-kwang, former CEO of Cyworld Zet and current CEO of Beta Labs, attended the press conference and voiced his opposition, pointing out issues regarding the legality of the acquisition process, the securing of the domain, and the priority of data restoration. Kim raised concerns that assets were transferred without convening a shareholders' meeting or requesting consent, and that Sigma Chain failed to secure the 'cyworld.com' domain. He also argued that the restoration of 3.8PB of customer data must be prioritized ahead of new business ventures.

In response, Sigma Chain stated that it is discussing ways to utilize the 'co.kr' domain and maintained that issues with Cyworld Zet are a separate matter between the companies. The company reiterated that it acquired the business rights from Cycommunications through a lawful process.

Cyworld's History of Repeated Revivals and Suspensions

Cyworld has experienced repeated revivals and suspensions as its operator has changed multiple times. In November 2024, Cycoms took over the business rights from Cyworld Zet and pursued a service relaunch featuring 3D Mini-Mee and chat functions, but the work was suspended due to data restoration costs. This was followed by management difficulties, the resignation of the CEO, and challenges in acquisition negotiations. Earlier this year in January, the Supreme Court finalized a ruling ordering Cyworld Zet and others to pay 13.7395 billion won plus legal interest to Beta Labs.